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Stocks AZZ DCF valuation

DCF valuation

What is Azz Inc worth?

With the base-case assumptions below, a discounted cash flow model on Azz Inc's reported free cash flow gives $470.43 per share. The share price was $137.17 on September 25, 2026, 71% below that value.

Inputs from the filings

Free cash flow, fiscal 2026
$444.7M
Average free cash flow, last 5 years
$165M
Cash
$1.1M
balance sheet of May 31, 2026
Debt
$480.6M
balance sheet of May 31, 2026
Diluted shares, fiscal 2026
30,211,000
Revenue growth per year, last 6 years
22.8%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$279.60+104%
Base15.0%9.0%2.5%9.0%$470.43+243%
Bull20.0%11.5%3.0%8.0%$825.75+502%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$614.90$659.95$715.01$783.83$872.32
8.0%$506.37$535.58$570.11$611.54$662.18
9.0%$427.40$447.38$470.43$497.31$529.09
10.0%$367.53$381.73$397.83$416.23$437.46
11.0%$320.68$331.09$342.73$355.82$370.66

Where the presets come from

Base: years 1 to 5 grow at Azz Inc's revenue growth rate over the last 6 fiscal years (22.8% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Azz Inc company page